PPG commodity business issuing debt to fund spin-off, merger

12:20 PM MST | January 18, 2013 | Vincent Valk

PPG’s commodity chemicals business, which is being merged into Georgia Gulf, is issuing $688 million in bonds to compensate PPG for the spin-off of the business. The business will be merged with Georgia Gulf upon completion of the spin-off, which is expected later this month. The bonds are being sold to investors in a private placement, and will be due in 2021 and carry an interest rate of 4.625%. The sale will close on 30 January. Georgia Gulf said earlier this week that it will change its name to Axiall upon completion of the merger. The...